Showing grit: Steady demand from chemical firms is expected to support future growth

The Salt Extraction industry has displayed a great deal of volatility over the past five years. Severe winter weather conditions supported a sharp increase in industry revenue in 2013-14 due to high demand for rock salt to de-ice roads. Demand for industry products has remained highly volatile since, which has affected industry revenue. The relatively steady performance of other products, including white salt and brine, has limited revenue decline somewhat. Demand from inorganic basic chemical manufacturing is expected to remain steady, supporting revenue as chemical manufacturers are a major market for the industry. Despite this, industry revenue is expected to fall at a compound annual rate of 4.8% over the five years through 2018-19 to reach £115.2 million...read more.

Industry Statistics & Market Size
Revenue
£115.2m
Annual Growth 14-19
-4.8%
Forecast Growth 19-24
Profit
Employment
633
Businesses
6

Industry Threats & Opportunities

  • An increase in the average maximum temperature is expected to reduce demand
  • The stockpiling of salt by operators has helped to limit import competition
  • A steady stream of demand from chemical manufacturers is expected to support industry revenue
  • Industry Report - Industry Products Chapter

    Rock saltRock salt is the industry's most popular product, accounting for over half of industry revenue. Rock salt occurs in beds, commonly associated with mudstone, of up to several hundred metres in thickness and is extracted in underground mines. Most of the rock salt mined in the United Kingdom is used to de-ice roads. Rock salt production is fairly constant, although producers can increase output to meet short-term demand pressures during periods of extremely cold weather. In the United Kingdom, over 1.5 million tonnes of de-icing salt are required by local authorities annually, with more needed during periods of severe weather. Harsh winter weather conditions over the past five years have made the extraction of rock salt more attractive. The...purchase to read more.

    Additional Insights for the Salt Extraction Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Salt Extraction Industry are

  • Ability to accommodate environmental requirements
  • Economies of scale
  • Proximity to key markets
  • IBISWorld analysts also discuss how external factors such as Demand from inorganic basic chemical manufacturing and Average maximum temperature in the Salt Extraction industry impact industry performance..

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    What's in this report

    What is the Salt Extraction Industry?

    Firms in this industry extract salt from mines and brine pits. This includes extracting salt from underground by dissolving and pumping, the evaporation of seawater, and crushing, purifying and refining salt. The industry does not include the processing of salt into food-grade salt or the production of drinking water from the evaporation of brine.

    Industry Products
  • Rock salt
  • White salt
  • Brine
  • Industry Activities
  • Rock salt production
  • Brine-pit operation
  • Brine production
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from inorganic basic chemical manufacturing
  • Average maximum temperature
  • Demand from condiments and seasoning manufacturing
  • Demand from animal feed production

  • Current Performance
  • Demand fluctuations
  • Import threats
  • Market segments
  • Chart: Revenue Growth

  • Industry Outlook
  • Steady growth
  • Volatile weather
  • Increasing capacity
  • Table: Salt Extraction Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Salt Extraction Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Potato Crisps & Snacks Production
  • Condiments & Seasoning Manufacturing
  • Animal Feed Production
  • Inorganic Basic Chemical Manufacturing

  • Key Selling Industries
  • Construction Equipment Rental & Leasing
  • Electricity Supply
  • Fuel Wholesaling
  • Pipeline Transport
  • Sea & Coastal Freight Water Transport

  • Products & Services
  • Rock salt
  • Brine
  • White salt
  • Chart: Salt Extraction Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Highway authorities
  • Chemical manufacturers
  • Food processors
  • Drinking water providers
  • Animal feed producers
  • Chart: Major Market Segmentation for the Salt Extraction Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesUtilitiesDepreciationOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Salt Extraction

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Salt Extraction Industry

  • Industry Globalization
    British Salt Limited, INEOS Enterprises Group Ltd, Compass Minerals UK Limited, Irish Salt Mining and Exploration Co Limited, Cleveland Potash Ltd,
  • Table: British Salt Limited - financial performance
  • Table: INEOS Enterprises Group Ltd - financial performance
  • Table: Compass Minerals UK Limited - financial performance
  • Table: Irish Salt Mining and Exploration Co Limited - financial performance
  • Table: Cleveland Potash Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Salt Extraction Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Salt Extraction Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Feedstock
  • A raw or basic material used to fuel or supply a process or machine.
  • Keuper Marl
  • A naturally occurring mineral extracted alongside rock salt. It is used for its weathering and friction properties in road de-icing.
  • White Salt
  • Salt granules produced by evaporating water from a salt solution.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Salt Extraction market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
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    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Salt Extraction:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Salt Extraction market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Salt Extraction, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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